Hyundai Motor Strategy

This report consists the current details of Hyundai Motor’s information systems strategy and recommendation to improve the business through big data. It focuses on the Hyundai Motor Strategy in the market and the challenges faced by the company. The report also discusses the concept of Big Data analytics and its implications for the organization.

Running head: HYUNDAI MOTOR STRATEGY
Hyundai Motors Strategy
Name of the Student
Name of the University

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Letter of Transmittal
Changmin Lee
UUNZ
76-78 Symonds Street
Auckland CBD, NZ
23 May 2019
The Hyundai Motor
12 Heolleung-ro
Seocho-gu Seoul
Dear Mong-Koo Chung
According to the contents of the following strategies and analysis illustrates based on the
Hyundai Motor worldwide and particularly in New Zealand. The Future recommendation of the
combined structures of information system success and improvement of business is included in
this report.
The report provides detail of various of the organization has been confronting emotional
difficulties in the market. One of the significant difficulties looked by the organization has been
because of globalization. The idea of Big Data investigation is quickly developing and according
to the explores being done, in future the ramifications of the Big Data are required to rise. Nature
of the Big Data at present shows that incredible open doors are there for the associations
regardless of the part to which they have a place.
Yours Sincerely
Changmin Lee

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Executive Summary
This report consists the current details of Hyundai Motor’s information systems strategy and
recommendation to improve the business through big data.This report has focused on the
Hyundai Motor Strategy in the market. Hyundai motors have been one of the largest automobile
company in the world. However, there have been various issues faced by the company in the
market related to the IT infrastructure. The company has been facing dramatic challenges in the
market. One of the major challenges faced by the company has been due to globalization. The
concept of Big Data analytics is rapidly growing and as per the researches being done, in future
the implications of the Big Data are expected to rise. The environment of the Big Data at present
demonstrates that great opportunities are there for the organizations irrespective of the sector to
which they belong.

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Table of Contents
1. Introduction..................................................................................................................................3
Key products and services...........................................................................................................4
Corporate mission........................................................................................................................4
Corporate Structures....................................................................................................................4
Major business processes.............................................................................................................5
Business strategy.........................................................................................................................6
Global Operations........................................................................................................................7
Part 2 It structure and emerging technologies – management issue................................................7
2.1 IT Infrastructure.....................................................................................................................7
2.2 Issues and challenges faced by Hyundai Motors in the management of its IT Infrastructure
.....................................................................................................................................................8
2.3 Emerging technologies........................................................................................................10
2.4 Issues an challenges in managing the IT infrastructure with emerging technologies.........10
Part 3: Big Data.............................................................................................................................11
3.1 Concept of big data..............................................................................................................11
Recommendation for Big Data......................................................................................................15
Conclusions and recommendations...............................................................................................16
References......................................................................................................................................17

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1. Introduction
Hyundai Motor Company is one of the largest automobile company in Korea which was founded
by Ju-Yung Chung established 1967. The conglomerate of reflects on the society at Korea and
starts from September 2000 and became a ‘Global Top 5 Automaker by 2010’ and management
policy concentrating on the reliable and transparent management to secure horizontal
management system (Hyundai, 2019, Para.1).
Constantly developing and launching to the side by side with various of business such as Kia
motors corporation, HYSCO, MOBIS, and STEEL. Hyundai Motor Company consists its
management philosophy of “Most fundamental reason for being, and the foundation for its
continued existence” (Hyundai, 2019, para.1). “Together for a better future” this constituent of
philosophy signifies Hyundai Motor Company’s core values that focuses its views on
automobile’s impacts on our society and mankind. It aims to promote to build connections with
customers by providing the best quality and impeccable service. Also, they refuse to be content
and strive to greater challenge for innovative and creative possibilities to be met (Hyundai, 2019,
para.4). It visions to hold concrete business strategies and action plans for the next decade to
realise the unlimited possibilities.
Hyundai Motor Company consists its management philosophy of “Most fundamental reason for
being, and the foundation for its continued existence” (Hyundai, 2019, para.1). “Together for a
better future” this constituent of philosophy signifies Hyundai Motor Company’s core values that
focuses its views on automobile’s impacts on our society and mankind. It aims to promote to
build connections with customers by providing the best quality and impeccable service. Also,
they refuse to be content and strive to greater challenge for innovative and creative possibilities

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to be met (Hyundai, 2019, para.4). It visions to hold concrete business strategies and action plans
for the next decade to realise the unlimited possibilities.
Key products and services
Automobile segments are representing for the customer’s demand, for examples, small capacity
of car, compact car, luxury car, convertible, SUV, supercar and Van. In current 2019 statistic of
number of cars are defined as 26 that released to the global public. Furthermore, specific major
key products are Sonata, KONA, IONIQ hybrid and Palisade and especially high-performance
car named Veloster N (Hyundai, 2019).
Changing Hyundai Motor Service Centre that the car number identification system provides
quick reception and consultation by confirming the reservation status and purpose of the visit.
Consumer can have access to a wide range of amenities in the customer lounge, and you can
check the status of your repair through the activity status panel. Currently they are constantly
improving the service centre to provide a more comfortable environment.
Corporate mission
Managing the continues of priority factors that the business thinks that are customers, challenge
execution, communication and co-operate, respect for talented person and Global-oriented
(Hyundai, 2019, Para 3).
Corporate Structures
A representing Korea in general trading company, Hyundai Corporation deals with various
business fields including export and import, intermediate trade, resource development and
overseas investment.

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http://www.hyundaicorp.com/en/ir/biz-overview/organization/
Major business processes
Hyundai-Kia Motors will establish a global business integrated operating environment by
innovating in-house IT business processes based on a high-performance cloud database. Hyundai

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and Kia Motors announced the introduction of a high-performance cloud-based database of SAP
(Systems, Applications, and Products in Data Processing) to its enterprise resource planning
(ERP) system. ERP is a system that integrates and manages overall management activities such
as production, logistics, finance, accounting, sales, purchasing, and inventory in the enterprise,
and helps new information creation and quick decision making by sharing information generated
by companies (Lansbury, Kwon and Suh 2013). The associated risks make it vulnerable to
various attacks and a company like Hyundai Motors need to be careful and alert in case of any
data breaches taking place as that can affect the brand name of the company and decrease the
inbuilt trust among its customers. With the increasing use of Internet and social media along with
big data two way communications has become easy that raises probable problems. The sudden
increase in the quantity of data from numerous sources is also a problem and thus is vulnerable
to sniper attacks.
The key point is that the ERP database, which Hyundai and Kia Motors have started to introduce
in succession to business sites around the world starting this month in cooperation with SAP, is
based on an 'in-memory based cloud' approach. 'In-memory-based cloud' is an advanced
technology that does not store data in a physical data centre but stores it in a memory database
built in the cloud. This helps to establish and establish a quick and efficient decision-making
system of data base, and is used as a core infrastructure to become a smart mobility solution
provider beyond automobile manufacturers. The advanced ERP system will enable the
establishment of a global business management system that can manage all business areas from
merchandising, research, production, development, purchasing, production and sales (Boannews,
2019).

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Business strategy
Our product strategy business plays a pivotal role in all our product line-up strategies, including
establishing mid- to long-term product strategies that can respond to rapidly changing
competitive environments and proposing new products that take into account changes in future
paradigms. In addition, in order to launch competitive products based on the mid- to long-term
strategy, we are promoting.
Global Operations
In 2016, most of the manufacturers of vehicles and facilities spread to global and became fourth-
largest. The vehicles segments are Currently, worldwide global policy that Hyundai Motors is
aimed to be localise at core countries, specifically United States, India, China, Russia, Australia,
New Zealand and extra (Hyundai, 2019).
Hyundai Motor Company consists its management philosophy of “Most fundamental reason for
being, and the foundation for its continued existence” (Hyundai, 2019, para.1). “Together for a
better future” this constituent of philosophy signifies Hyundai Motor Company’s core values that
focuses its views on automobile’s impacts on our society and mankind. It aims to promote to
build connections with customers by providing the best quality and impeccable service. Also,
they refuse to be content and strive to greater challenge for innovative and creative possibilities
to be met (Hyundai, 2019, para.4). It visions to hold concrete business strategies and action plans
for the next decade to realise the unlimited possibilities.

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Part 2 It structure and emerging technologies – management issue
2.1 IT Infrastructure
Generally, there are seven major constituents in current modern IT infrastructures that must
interrelate to provide the firm including a coherent IT infrastructure. The Major technologies and
suppliers. IT infrastructure Ecosystem contains Consulting system integration services, Internet
platforms, Networking/telecommunications platforms, Data management and storage, Enterprise
software applications, Computer hardware platforms and Operating system platforms (Laudon &
Laudon 2014b).
The supply chain management issues are to evolve ways to integrate supply chain activities
across organizations necessarily. Developed production planning and scheduling mechanism
among supply chain members.
2.2 Issues and challenges faced by Hyundai Motors in the management of its IT
Infrastructure
Hyundai motors have been one of the largest automobile company in the world. However, there
have been various issues faced by the company in the market related to the IT infrastructure. The
company has been facing dramatic challenges in the market. One of the major challenges faced
by the company has been due to globalization (Park and Park 2012). The global market has been
getting saturated due to the effect of the globalization in the market. Various global markets of
North America, Japan and Western Europe has been providing 90 percent of the total automobile
production all over the world. Therefore, these countries have been giant in the automobile
industries. Hyundai has been suffering to capitalize these markets due to saturation in the market.

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Various government policies have been strict in many international markets. The economy and
revenue of Hyundai motor have been fluctuating in the market due to the globalization. As
commented by Hwang et al. (2016), globalization has been neither cheap nr easy along with
value chain. Emerging market customers have been increasing and demand of same quality level
of cars are increasing in the market. This has been creating major issues in the company. The
demand of cars have been increasing which are at same cost and features. Therefore, customers
are getting other options for purchasing cars u ti the globalization. The sales of the company has
been getting down due to this. Another major issues have been product differentiation. As
suggested by Sung et al. (2012), increase in the competition in the automobile market has been
creating issues for IT infrastructure of the company. The market analysis of the company has not
been done properly. The information system of Hyundai motors have been getting outdated as
there has been influence of new information systems. The differentiation in the product types
have been increasing options for customers to switch to different companies.
2.3 Emerging technologies
As commented by Kale (2017), one of the emerging technologies that can be used in the
Hyundai Motors is Big data. With reference to analysis, big data analyzes on the huge sets of
data in order to identify the patterns so that social, economic, legal and technical claims can be
made. Mythology in this case deals with the widespread concept that the huge data sets provide a
higher form of intelligence and knowledge which generate insights previously not possible, with
accuracy, the aura of truth and objectivity. One of the technologies in the automobile industry
might be driverless cars. This technology has been new in the market. This might help the
company to increase their technological advances in the automobile industry. The self-driving
cars have been helping in maintaining a keen approach in the dependency of the market. As per

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the research Brondoni (2014), Big Data consists of four dimensions namely Volume, Velocity,
Variety and Veracity. It consists of velocity of high volume and variety of information assets that
require cost effective form of innovations dealing with processing of information for the purpose
of enhancing insight and decision making.
2.4 Issues an challenges in managing the IT infrastructure with emerging
technologies
There have been various issues with the self-driving cars in the company. The self-driving cars
have been driverless cars that has been a new technology in the market. However, there might be
cyber-attacks in the database of the self-driving cars which might led to accidents of vehicle.
The data loss has been main challenge in the self-driving technology (Steers 2013). It becomes
difficult for the program installed in the self-driving car to decide whether to stop or keep
moving. This might cause accidents of the car. With the various disadvantages Big Data poses a
threat to the privacy of the user’s data and in order to prevent this, effective algorithms are
required to encrypt data that is to conceal the raw data and make the increase the reliability and
integrity of Big Data.
Part 3: Big Data
3.1 Concept of big data
Big data is related to huge sets of data that are complex in nature and can be both structured and
unstructured that cannot be operated on by the traditional processing techniques or the
algorithms. Its main aim is to reveal the hidden patterns and has resulted in the transformation of
the model based science paradigm into data based science paradigm. As per the research done by
Menon and Raj (2012), Big Data is supported by technology, analysis and mythology.

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Technology in Big Data refers to the process of maximizing power of computation and accuracy
in algorithm in order to link, gather, analyze and make comparisons of large sets of data. With
reference to analysis, Big data analyzes on the huge sets of data in order to identify the patterns
so that social, economic, legal and technical claims can be made. Mythology in this case deals
with the widespread concept that the huge data sets provide a higher form of intelligence and
knowledge which generate insights previously not possible, with accuracy, the aura of truth and
objectivity. As per the research Park (2013), Big Data consists of four dimensions namely
Volume, Velocity, Variety and Veracity. It consists of velocity of high volume and variety of
information assets that require cost effective form of innovations dealing with processing of
information for the purpose of enhancing insight and decision making. Big data finds in
application in many areas as it can be beneficial for the macroeconomic and the financial
statistics, finally aiding the process of making policies by three distinctive features that are as
follows:
1. It helps to find answers to new questions and at the same time produces new indicators.
2. It is effective in bridging the time lags available in the official statistics and by proving to a
support to timely forecast of the existing indicators.
3. Big data serves as an innovative source of data in case of the production of the statistics that
are official (Behera et al. 2012).
Owing to its advantages, Big data is being implemented by many organizations and are getting
benefitted from the data science by acquiring knowledge from the best practices and adopting
those that are having the requisite potential for the meaningful insight. The organizations are
aided by Big Data to answer the research needs that are urgent. In the domain of business Big
Data analytics helps the companies to take more informed decisions related to their business by

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enabling the data scientists, the predictive modellers and other professionals of analytics in order
to analyze the volumes of the data mostly on transactions of the business organization along with
the other forms of data that are left untapped by Business Intelligence programs. Developed
production planning and scheduling mechanism among supply chain members (Han et al. 2017).
Big data can help implement strategies on price differentiation as business companies are making
use of customer-product level of pricing schemes. It is helping to improve customer
responsiveness by providing the marketers to obtain greater knowledge into the behavioural
patterns of the customers and in order to achieve this data mining techniques are being used. Big
Data provides various advantages and opportunities in the business domain. Big Data tools such
as Hadoop and the Cloud-Based analytics prove to be cost effective for the firms. The tools of
Big data help in identifying ways of conducting business that prove to be efficient enough for the
growth of the firm. Big Data is time effective and helps understand the conditions that are
prevailing in the market as a business organization can easily understand the ongoing state of the
market by analyzing the Big Data thus it helps the company in the competition market. The
customer reviews obtained by the help of Big Data can help know the demands of the customer
and act according to these demands in order to gain customer satisfaction (Lee. and Oh 2015).
The supply chain management issues are to evolve ways to integrate supply chain activities
across organizations necessarily. There are certain challenges that Big Data is facing and that
relate mainly to the regions of accessibility and requirement of new skills. The disadvantages of
Big Data are as follows:
1) Data Quality: In case of Big Data the quality of the indicators and the underlying data sources
needs to be accessed. In the experimental phase the newly developed indicators require
benchmarking to the ones that are existing in the process of evaluation. This particularly is

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essential to ensure that the newly developed indicators successfully meet the set minimum
quality standards of the data in the process of long-established frameworks of quality for
statistics related to fiscal, real, monetary, external and financial statistics (Yu et al. 2018).
2) Access to Big Data: Big Data consists of huge quantities of personal information that are
liable to being misused and fall prey to data breaches. The security of the data in this case is a
big concern and an issue in the present scenario. The informations based on the nation’s legal
framework should not be used without consent. The loss or theft of data can be a reason for
degrading reputation and result in the loss of the customers’ trust (Kim et al. 2012)
3) New skills and technologies: In order to make the concept of big data analytics popular and
effective there needs to be skilled professionals having the requisite knowledge about the
evolving and revolutionary concept. The big data analytics requires skilled minds that know
about it and are also acquainted with the loopholes of this concept.
The concept of Big Data analytics is rapidly growing and as per the researches being
done, in future the implications of the Big Data are expected to rise. The environment of the Big
Data at present demonstrates that great opportunities are there for the organizations irrespective
of the sector to which they belong. The future of business will be experiencing drastic changes
due to the implementation of Big Data analytics. The primary benefit, ultimately, is improved
customer satisfaction through better integration of functional activities.
The business heads will be able to access huge volumes of data at a rapid rate on a global scale
by the medium of cloud and these types of analytics will contribute to developments that will be
related to the predictive analytic tools. With the various disadvantages Big Data poses a threat to
the privacy of the user’s data and in order to prevent this, effective algorithms are required to

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encrypt data that is to conceal the raw data and make the increase the reliability and integrity of
Big Data (Lansbury, Kwon and Suh 2013). The data processing and data transfer
techniques are also to be analyzed in the Big Data Analytics. Big data will help improve the
analyzing process of the data as it will provide various tools effective in achieving the same.
Recommendation for Big Data
In case of the Hyundai Motors Big data can describe the facts about the lot of data that is
produced every day, and this data must be managed, controlled, and analysed and then used. The
automobile industries have adopted many new technologies related to Big Data revolution such
as the connected cars gathering data that deal in the driving habits of the customers by the help of
electrical system, sensors, cameras and many more. Hyundai motors can adopt this concept and
make use of the advantages of this in the following ways:
1) The company can extract the sensor data and the location data that can be combined to
provide services so that the car manufacturers, allowing insurers, leasing car companies can
predict movement of cars.
2) The company can implement connected driving that is the process in which the cars are
continuously connected to the internet services and at the same time connected to various
services that will aid the driving process It will help in conveying messages while the car is
moving around in the city, comment on the traffic conditions, consider the available parking
areas and many more. It simply means that car will serve as a connection to the rest of the world.
3) Big Data would aid the growth of the company as it will help in additive manufacturing and
3D printing techniques that will revolutionary in the car manufacturing industry as they have the

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potential to make the design of cars attractive and thus increase in the sales and it is also a point
where the competition in the market lies. It will change the supply chain of the industry.
4) The main role of the Big Data is to facilitate the understanding of the habits of the customers
that will help the firm meet the requirements of the customers and the trust of the customers on
Hyundai Motors will increase.
5) Hyundai Motors need to have skilled professionals having knowledge about the harsh
consequences of Big Data. The concept has brought in transformations in the business strategy
but still marketers find it tough when it comes to the part of handling the data. As per the
research done by Park and Park (2012), it is challenging to develop an ecosystem of information
by compiling the patterns of the data gathered from different sources. The cyber attacks are a
major threat to the Big data analytics and thus every organization implementing Big data
analytics needs to have a well developed that can certainly prevent data breaches and if any
caused can be handled in time and in a effective manner.
Conclusions and recommendations
Hyundai Motors can make use of Big data to in case of the data that is related to the car
systems and components, the working and the non-working parts that could help the company in
the maintenance and warranty services of the product. In case of the logistics and the production
department the sensor data can be used by the company in the cycle of production that will make
the firm more efficient in relation to the usage of real time data. It has proved to be beneficial for
the car manufacturers like Hyundai by providing in time delivery and thus Big data analytics has
the potential to support the rapid growth of the company in days to come. The associated risks
make it vulnerable to various attacks and a company like Hyundai Motors need to be careful and

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alert in case of any data breaches taking place as that can affect the brand name of the company
and decrease the inbuilt trust among its customers. With the increasing use of Internet and social
media along with big data two way communications has become easy that raises probable
problems. The sudden increase in the quantity of data from numerous sources is also a problem
and thus is vulnerable to sniper attacks.
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